Does Your State Government Offer Reliable Student Loan Guidance?

Resources for Indiana Students

The State of Indiana offers its citizen students and parents a couple of state-sanctioned agencies whose primary job it is to provide college planning guidance. When you’re on track for a college education don’t miss out on the information right in your own backyard.

ISM Education Loans is in business as a secondary loan company. When you need reliable information on the types of loans available to you this is a primary source.

State Student Assistance Commission of Indiana is a clearinghouse for information for college students and parents. But it’s much more than that. Parents will find information for students at all levels of education and resources that will point you to equally valuable sources.

Federal Student Loans for Indiana Students

Don’t get confused when it comes time to apply for student loans. The best first step you can take is to complete the Free Application for Federal Student Aid or the FAFSA. By filling out this application you are considered for all federal loan and grant programs. So you don’t have to make any decisions about them—Uncle Sam does most of that work. Here’s the rundown:

  • By far the most popular federal loan, maybe the most popular student loan, period, is the Stafford Loan. This comes in a subsidized version and an unsubsidized version. If your family falls into one of the lowest financial brackets you could qualify for subsidized. And in many cases, students qualify for both. These are low-fee, fixed interest loans with a 6 month grace period and amenable repayment terms. The Stafford Loan should be your absolute first option when the notion of student loans arises.
  • Parents of undergrads face an uphill financial battle. But no more with the Parent PLUS Loan. This federal loan product gives parents the financial muscle necessary to finance the outstanding balance on their children’s education once all other loans and grants have been disbursed. Again, this is a lower cost, option to traditional home equity loans or 2nd mortgages.
  • Most recently graduate and professional students now have available the Grad PLUS Loan. Similar to the Parent loan this product picks up where the Stafford Loans leave off. If you’re an Indiana graduate student and you’ve borrowed the limit on your Staffords then this is the next level of federal finance.
  • Perkins Loans are campus-based aid and only offered to those Indiana students with the most dire need. Not every school offers them, so make sure to ask your admissions counselors.

For more information specific to Indiana student loans visit the State Student Assistance Commission of Indiana website.